Graham Bentley: Active management is a misnomer

Last month I proposed ‘passivism' as the investment art of doing nothing, comparing it with a foot spa - useful but not a panacea. As for the opposing faction, I've decided to dump the term ‘activism'. Active management is a misnomer since activity isn't a necessary characteristic (just look at Nick Train's trading history). I have therefore settled on ‘selectivism' to describe any investment philosophy that seeks excess returns over those available from the market. The 'Efficient Market Hypothesis' is a 40-odd year old theory proposing there are no mispriced securities - hence it ...